Answered step by step
Verified Expert Solution
Question
1 Approved Answer
theres something wrong advice please. for requirement one can you put the answer next to my answers so I can compare Requirements 1. Compute the
theres something wrong advice please. for requirement one can you put the answer next to my answers so I can compare
Requirements 1. Compute the overhead variances for the month: variable overhead cost variance, variable overhead efficiency variance, fixed overhead cost variance, and fixed overhead volume variance 2. Explain why the variances are favorable or unfavorable Requirement 1. Compute the overhead variances for the month variable overhead cost variance, variable overhead efficiency variance, fixed overhead cost variance, and fixed overhead volume variance. Begin by selecting the formulas needed to compute the variable overhead (VOH) and fixed overhead (FOH) variances, and then compute each variance amount. (Actual cost - Standard cost) Actual hours VOH cost variance 11970 (Actual hours - Standard hours allowed) Standard cost VOH efficiency variance 2100 1 Data Table Actual overhead - Budgeted overhead FOH cost variance 1130 Budgeted overhead - Allocated overhead = FOH volume variance 1350 Static budget variable overhead $ 7,800 Static budget fixed overhead $ 3.900 Static budget direct labor hours 1.300 hours Static budget number of units 5,200 units Morgan allocates manufacturing overhead to production based on standard direct labor hours. Last month. Morgan reported the following actual results: actual variable overhead, $10.800; actual fixed overhead, $2.770, actual production of 7,000 units at 0.20 direct labor hours per unit. The standard direct labor time is 0.25 direct labor hours per unit (1.300 static direct labor hours/5.200 static units) Print DoneStep by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started